What are the guidelines for the declaration and payment of licensing fees in Vietnam? How to pay licensing fees in case a taxpayer has business operation in more than one province?
- What is the latest declaration form of licensing fees in Vietnam? What are the guidelines for declaration and payment of licensing fees in Vietnam?
- What are the regulations on declaration of licensing fees in Vietnam?
- How to pay licensing fees in case taxpayer has business operation in more than one province of Vietnam?
- Vietnam: How long does it take to pay the licensing fee?
What is the latest declaration form of licensing fees in Vietnam? What are the guidelines for declaration and payment of licensing fees in Vietnam?
The declaration form of licensing fees is form 01/LPMB issued together with Circular 80/2021/TT-BTC. Below is a declaration form of licensing fees:
Download the latest declaration form of licensing fees: Here.
Pursuant to form 01/LPMB issued together with Circular 80/2021/TT-BTC guiding how to make a licensing fee declaration as follows:
- Target [01]: Declare the year for calculating licensing fees.
- Target [02]: Select only for the first time declaration.
- Target [03]: Only select the case in which the fee payer (hereinafter referred to as NNT and abbreviated as NNT) has submitted a declaration but later discovers that there has been a change in information about the declaration obligation and make a re-declaration of information in the declared fee period. Note, NNT only selects one of the two criteria [02] and [03], not both at the same time.
- Target [04] to target [05]: Declare information according to taxpayer's tax registration.
- Target [06] to target [08]: Declare tax agent information (if any).
- Target [09]: Only selected in case the taxpayer has declared LPMB, then establishes a new business location.
What are the guidelines for declaration and payment of licensing fees in Vietnam? How to pay licensing fees in case taxpayer has business operation in more than one province? (Image from the Internet)
What are the regulations on declaration of licensing fees in Vietnam?
Pursuant to Clause 1, Article 10 of Decree 126/2020/ND-CP stipulating the declaration of licensing fees as follows:
- New businesses (except household businesses and individual businesses), including medium and small enterprises converted from household businesses) and existing businesses that establish new dependent units or business location shall:
+ Submit the licensing fee declaration by January 30 of the year preceding the establishment or inauguration year.
+ In case capital in changed during the year, the licensing fee payer shall submit the declaration by January 30 of the year succeeding the year in which the change occurs.
- Household businesses and individual businesses are not required to submit licensing fee declarations.
Tax authorities shall determine the licensing fees payable according to their tax declaration dossiers and tax administration database and inform them in accordance with Article 14 of Decree 126/2020/ND-CP.
How to pay licensing fees in case taxpayer has business operation in more than one province of Vietnam?
Pursuant to Point k, Clause 1, Article 11 of Decree 126/2020/ND-CP stipulates as follows:
Tax declaration dossier submission location
Tax declaration dossiers shall be submitted at the locations specified in Clauses 1, 2 and 3 Article 45 of the Law on Tax administration and the following locations:
1. A taxpayer that has business operation in more than one province as prescribed in Point a and Point b Clause 4 Article 45 of the Law on Tax administration shall submit tax declaration dossiers to the tax authority of the province other than the province in which the taxpayer is headquartered in the following cases:
a) VAT of an investment project in the cases specified in Point d Clause 2 Article 7 of this Decree shall be declared where the project is located.
b) VAT on transfer of real estate or an infrastructure or housing development project for transfer (even if progress payments are collected) shall be declared where the transfer takes place.
c) VAT shall be declared where the power plant is located.
d) Excise tax shall be declared where the taxed goods are produced or processed or where the taxed services are provided (except computerized lottery business).
In case the taxpayer directly imports the goods that are subject to excise tax and then sell them domestically, excise tax shall be declared at the supervisory tax authority in charge of the area where the taxpayer is headquartered.
dd) Environment protection tax shall be declared where the tax goods are manufactured, except environment protection tax on oil and gas trade specified in Point a Clause 4 of this Article.
e) Environment protection tax shall be declared where the coal is manufactured or sold, even if coal is internally consumed, except the case specified in Point b Clause 4 of this Article.
g) Resource royalty (except resource royalty on hydropower generation where the reservoir of the power plant is located in the same province; extraction and sale of natural gas; sale of confiscated resources; irregular extraction of resources licensed by competent authorities or exempted from licensing as prescribed by law).
h) Corporate income tax shall be declared where the dependent unit or business location generates income eligible for corporate income tax incentives.
i) Environmental safety fee shall be declared where minerals are extracted (except crude oil, natural gas and coal gas; buyers of minerals in bulks from independent miners).
k) Licensing fees shall be declared where the dependent units and business locations are located.
...
Thus, according to the above regulations, taxpayers pay licensing fees at the tax office where the dependent unit is located and the business location.
Vietnam: How long does it take to pay the licensing fee?
Pursuant to Clause 9, Article 18 of Decree 126/2020/ND-CP, the deadline for payment of licensing fees is as follows:
- Licensing fee shall be paid annually by the 30th of January.
- For medium and small enterprises converted from household businesses (including their dependent units and business locations), upon expiration of the licensing fee exemption period (3 years from the establishment date):
+ If the expiration date is in the first 6 months of the year, licensing fee shall be paid by the 30th of July of the same year.
+ If the expiration date is in the last 6 months of the year, licensing fee shall be paid by the 30th of January of the succeeding year.
- Household businesses and individual businesses that shut down and subsequently resume their business operation shall pay licensing fee as follows:
+ If the resumption date is in the first 6 months of the year, licensing fee shall be paid by the 30th of July of the same year.
+ If the resumption date is in the last 6 months of the year, licensing fee shall be paid by the 30th of January of the succeeding year.
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